MEMORANDUM
TO:
Potential Candidates to Provide Facilitation Services
FROM:
Vermont Public Service Board
DATE:
August 31, 2005
SUBJECT: PSB Docket No. 7081 -- Request for Proposals to Provide Facilitation
Services
The State of Vermont Public Service Board ("PSB" or "Board") is issuing this Request
for Proposals ("RFP") soliciting responses from persons interested in providing
facilitation services in the Board's Docket No. 7081. The desired services are
described in more detail in the attached Request for Proposals. If you would like to
submit a proposal for the provision of these services, please do so by September 12,
2005.
Any individual who is selected should be available to begin work on or about October
1, 2005. In addition, candidates should review the conflict of interest provision set out
in Section 3.7 of the RFP. Potential applicants should consider whether existing or
planned relationships to entities involved in the public utility industry (or related fields)
would (or could appear to) conflict with his or her ability to provide the requested
facilitation services.
If you have any specific questions about any part of this memorandum, please feel
free to contact the Board's Business Manager, Cynthia Muir, at (802) 828-2358.
We look forward to receiving your proposals by September 12, 2005.
encl.
- 2 -
REQUEST FOR PROPOSALS
1. Introduction
1.1
Purpose of this Request for Proposals
The Vermont Public Service Board ("Board") is soliciting bids for an individual who
will serve as a facilitator for negotiations among the parties to the Board’s Docket No.
7081. Docket No. 7081 is an investigation into the obligations of Vermont Electric
Power Company, Inc. ("VELCO," which owns Vermont’s bulk transmission system)
and Vermont's distribution utilities with respect to least-cost integrated resource
planning for VELCO's transmission system. The Board's Order of July 20, 2005,
opening this investigation is available on the Board’s web site at
http://www.state.vt.us/psb/orders/2005/files/7081investigationphc.pdf.
The parties to Docket No. 7081 have agreed on (and the Board has approved) the
following general outline for proceeding in this Docket. An initial phase will consist of
workshops designed to provide the parties with information useful for this proceeding. 1
During the initial phase, the parties will also seek to reach agreement on a process for subsequent negotiations. The
second phase of the proceeding will be a three-month period for facilitated negotiations among the parties, commencing
October 1, 2005. Thus, the term of the vendor’s services is expected to be three months, but may be extended if the
Board determines, based on the circumstances, that further facilitated negotiations among the parties would likely be
productive.
1.2 Vendor Requirements
The following requirements are mandatory and are provided to assist vendors in their decision whether to
respond to this RFP.
1. Contracts resulting from this RFP must adhere to the State of Vermont's Customary State Contract
Provisions provided in Attachment A.
2. Vendors must commit to a contract with the State of Vermont for the period of three months commencing
on October 1, 2005, and be available on an average of 20 hours per business week. (The actual number of
hours per week is likely to vary substantially, depending on the schedule and needs of the negotiation
process.)
3. Vendors must propose a single staff member to provide the facilitation services.
4. Strong management, oral and written communication skills, and a thorough understanding of the
expected duties is essential.
1. These workshops will likely be held before a facilitator is selected by the Board. However,
transcripts of the workshops will be made available for the selected facilitator to review as
background information, if the facilitator so desires.
- 3 5. The selected vendor must provide its own equipment, office space, and materials for this project.
2. Scope of Work
The facilitator will be required to perform the following work:
1. Propose a process for the negotiation and create the pre-meeting ground rules (e.g., adjust the topics for
the meetings, establish deadlines for material, establish agendas for the meetings, act as an intermediary for
the group on all logistical matters related to setting up and conducting meetings), subject to review and
approval by the parties.
2. Coordinate with the Steering Committee 2 on all matters related to the conduct of the negotiation.
3. Act as facilitator in all negotiation sessions, ensuring the group stays on task, all points of view are given appropriate
opportunity to be heard, all proposals receive thoughtful consideration, and the negotiation process remains productive.
4. Prepare meeting summaries and establish follow-up activities and future agendas at the conclusion of each meeting.
5. Drafting and/or coordinating of topical agreements to serve as a multi-party settlement(s), to the extent settlement can
be reached, for filing at the conclusion of the negotiation phase.
6. On a monthly basis (or more frequently, if requested by the Board), prepare status reports to be filed with the Public
Service Board. These status reports should include what meetings were held and what general topics were discussed, as
well as whether any agreements (preliminary or otherwise) were reached. The reports should not divulge the substance of
the negotiations, any party's position in those negotiations, or the substance of any agreements reached.
7. Optional enhancement (to be priced separately): make available to the group and maintain a web-based,
password-protected communications vehicle for managing docket information and making it available to group members
throughout the negotiation.
3. Proposal Response Format
Vendors are asked to submit one original and six copies of their proposals in the following format:
• Transmittal Letter
• Related Experience/Project Approach
• Staff Qualifications
• References
• Business Organization
• Cost Proposal
• Conflicts of Interest
Proposals should provide a straightforward description of the vendor's capabilities for performing the
duties described in this RFP.
3.1 Transmittal Letter
To be considered, vendor proposals must be accompanied by a transmittal letter signed in ink by a person
authorized to bind the vendor in the proposal offerings (refer to Subsection 5.1.2). The letter must include a
statement that the vendor accepts the contract terms and conditions, and the stipulated administrative
requirements included in this RFP (Subsection 5.1.5).
The transmittal letter must include the bidder information listed below:
2. The Steering Committee consists of representatives of several of the parties to Docket No.
7081. The Steering Committee is charged with developing the informational workshops, and to
seek to reach agreement for the negotiation process.
- 4 • Name of Company or Individual
• Mailing Address
• Street Address
• Total Bid Amount
• Name and Title of Company Contact for questions regarding the proposal
• Contact Telephone Number, Address, Fax Number and Email Address
3.2 Related Experience/Project Approach
Vendors must give a description of their involvement in projects that provided direct relevant experience
related to the duties listed in Section 2 of this RFP. Vendors should also describe in this section of their
proposals specific strategies and procedures that they propose to employ to fulfill the duties listed in Section
2.
3.3 Staff Qualifications
Vendors should provide a résumé for the individual who would provide the facilitation services.
3.4 References
Vendors must provide three references for their business organization and for the individual who would
provide the facilitation services. Vendors should include name, title and contact information, including
telephone numbers, for all references provided.
3.5 Business Organization
Vendors should provide a brief description of their business organization.
3.6 Cost Proposal
All responses should specify: (1) the individual who would provide the facilitation services, and the
qualifications of that person; and (2) the hourly rate of that person, as well as the hourly rate of any support
services personnel that may be available from the candidate to work on this project. Vendors should provide
a cost proposal based on an hourly rate for services to be performed under the contract, using the estimated
average of 20 hours per week. If, however, the work requirements do not utilize the full 20 hours, only actual
hours may be billed to the State of Vermont. If the vendor is required to work more than 20 hours per week,
it will not be eligible for overtime compensation of any type, and may only bill for the additional hours at its
standard quoted hourly rate. Vendors should detail costs for any and all services and materials not included
in this hourly rate.
3.7 Conflicts of Interest
All responses should specify whether, in the past five years, the vendor or the proposed facilitator has
performed any work for VELCO or any other parties in Docket No. 7081 (a list of the parties is included as
Attachment B), whether any member of the proposed facilitator's immediate family is currently performing any
work for VELCO or any other parties in Docket No. 7081 , and whether the vendor is aware of any other
potential conflicts of interest.
- 5 4. Proposal Evaluation
4.1 Evaluation Criteria
Vendor proposals will be reviewed by the Public Service Board and the Board staff. Evaluation of
proposals will be based upon the criteria listed below. No formal weighting or scoring process is
anticipated and proposals will be evaluated based on the best combination of skills and experience that
are most likely to yield a successful outcome, with due consideration also given to each vendor’s cost
proposal. Proposal evaluators will look for evidence of the following:
1. Successful experience of principal staff in facilitating multi-party public policy
negotiation.
2. Knowledge and skills to develop a negotiation process that will maximize the potential for progress by
the group.
3. Knowledge and skills to foster positive group dynamics within the negotiation process in order to
increase the likelihood of success.
4. Experience with utility issues, and/or experience with land use, environmental or other issues in a
regulatory arena.
5. An effective system for project management, including managing communication with a steering
committee made up of divergent interests within the group.
6. An effective system for managing a large amount of complex information developed within the context
of a multi-party negotiation in a manner that keeps all materials readily accessible to all parties
throughout the process. It is desirable but not mandatory (as indicated in the scope of work) that this
function be accomplished with web-based tools.
4.2 Finalists
In general the vendor with the highest evaluation will be awarded the contract; however, the Board
reserves the right to reject any and all proposals, and the final decision to contract with any vendor will be
made by the Board. Upon the notification of selection as a finalist in the bid for this contract, vendors may be
requested to negotiate certain aspects of their proposals. In addition vendors should be prepared to give an
oral presentation/interview upon the request of the Public Service Board.
5. Stipulated Administrative Requirements
5.1 Vendor Instructions
5.1.1
Conformity to Instructions
Vendors must conform with all RFP instructions and conditions when responding to this RFP. The State
of Vermont, at its discretion, may reject any nonconforming vendor proposal or response.
5.1.2
Proposal Responses to This RFP
Vendors desiring to participate in this RFP must submit proposal responses with the format and content
as outlined.
5.1.3
Vendors Not Submitting Proposals
- 6 Vendors provided with a copy of this RFP who decide not to offer a proposal to the State are asked to
submit a negative reply to verify their receipt and consideration of this RFP.
5.1.4
Identifying RFP Communications
All proposals and other communications with the State of Vermont regarding this RFP must be submitted
in writing in sealed envelopes clearly identifying the RFP Title, the contact name and address of the vendor,
and indication of the envelope contents (i.e. BID, NEG RESPONSE). Any material received that does not
indicate the RFP-related content may be opened as general mail.
Proposals and Related Correspondence must be delivered to:
Cynthia Muir, Business Manager
Vermont Public Service Board
112 State Street, Drawer 20
Montpelier, VT 05620-2701
5.1.5
Acceptance of Stipulated Administrative Requirements
Vendor proposals must include unequivocal statements accepting the stipulated administrative
requirements of this RFP (Section 5.2 RFP Conditions), and must reflect compliance with such requirements.
Any failure to do so may result in the State's rejection of the proposal or portion thereof.
5.1.6
Deviating From RFP Specifications
The State of Vermont may reject any vendor proposal, or portion thereof, reflecting significant deviation
from the specifications of this RFP. Vendors submitting proposals with any minor deviations must identify
and fully justify such deviations for State consideration.
5.1.7
Exclusion of Taxes From Prices
The State of Vermont is exempt from the payment of excise and sales taxes imposed by the Federal
Government and/or the State. Vendors remain liable, however, for personal property taxes levied by
municipalities upon any and all property leased to the State.
5.1.8
Proposal Copies
Any vendor responding to this RFP is required to submit one (1) original and six (6) copies of the
proposal. Pages should be numbered for ease of reference, and be typed on 8 ½ x 11-inch paper. All
copies of the proposal, other than the original, should be submitted copied on both sides of the paper as
required by the State of Vermont. The vendors is also requested to provide an electronic version of its
proposal (preferably in pdf format).
5.1.9
Vendor Contacts
The proposal should provide the name, title, address, telephone number, FAX number and email (if
available) of the vendor contact person(s) responsible for clarifying proposal content and for approving any
agreement (or agreement amendment) with the State of Vermont.
5.1.10
Vendor References
- 7 Vendors must provide at least three customer references which reflect similar project experience.
References should include current contact name, telephone number and location.
5.1.11
Validation of Proposal Offerings
The State considers proposals as binding commitments which the State may include by reference into any
agreement with a vendor. Therefore, each vendor proposal must be validated by the signature of a person
having such authority to commit the company, and the signer's authority in this regard must be authenticated
by a signed statement to that effect by an appropriate high level company official.
5.1.12
Proposal Completeness
To be acceptable, proposals must contain all required information and statements in the format requested
by this RFP. Vendor proposals must submit "no" or "not applicable" responses to any RFP question or
information request, when such a response is appropriate.
5.2 RFP Conditions
5.2.1
Amendment or Cancellation of RFP
The Board reserves the right to amend or cancel this RFP at any time if, in the Board's judgment, the best
interest of the State requires such action.
5.2.2
Proposal Modifications
No additions or changes to any vendor's proposal will be allowed after the proposal due date unless such
modification is specifically requested by the State.
5.2.3
RFP Events and Timing
The timing and sequence of events resulting from this RFP will be determined by the State of Vermont.
The schedule is planned as follows; vendor contacts will be notified of any amendment to this schedule during
the RFP process.
August 31, 2005
September12, 2005
5.2.4
RFP Released
Proposals Due
Proposal Expenses
The State of Vermont assumes no liability for payment of any expenses incurred by any vendor in
responding to this RFP.
5.2.5
Acceptance or Rejection of Proposals
The State reserves the right to accept or reject any or all proposals submitted for consideration in whole or
in part, and to waive technical defects, irregularities, or omissions if, in its judgment the best interest of the
State will be served.
5.2.6
Ownership of Proposals
All proposals submitted in response to this RFP will become the sole property of the State of Vermont.
- 8 5.2.7
Oral Agreements and Arrangements
Any alleged oral agreement or arrangement made by a vendor with any State agency or employee will be
disregarded in any State proposal evaluation or associated award.
5.2.8
Vendor Presentation of Supporting Evidence/Surety
Vendors must be prepared to provide any evidence of experience, performance ability, and/or financial
surety that the State deems necessary to fully establish the performance capabilities represented in their
proposals.
5.2.9
Vendor Demonstration of Proposed Services
Vendors must be able to demonstrate any and all proposed services or products including program
components, software and hardware included in their response. Any required demonstration will be provided
at a site approved by the State of Vermont and without cost to the State.
5.2.10
Vendor Misrepresentation or Default
The State reserves the right to reject the proposal of any vendor and void any award resulting from this
RFP to a vendor who materially misrepresents any product or defaults on any State contract.
5.2.11
State Fiscal and Performance Requirements
Any product acquisition resulting from this RFP must be contingent upon contractual provision for
cancellation of such acquisition, without a penalty, if the applicable funds are not available for required
payment or if the product fails to meet the minimum State criteria for acceptance.
5.2.12
Conformance of Awards with State Statutes
Any award resulting from this RFP must be in full conformance with State of Vermont statutory
requirements.
5.2.13
Erroneous Awards
The State of Vermont reserves the right to correct inaccurate awards resulting from its clerical errors.
5.2.14
Public Records
Vendors should be aware that all materials associated with the procurement are subject to the terms of
the Vermont Access to Public Records Act (1 V.S.A. Chapter 5, Subchapter 3) and all rules, regulations and
interpretations resulting therefrom, including those from the Board, the office of the Attorney General of the
State of Vermont, and the office of the Vermont Secretary of State, and any other applicable rules, regulations
or judicial decisions regarding access to the records of government.
The Board does not favor the filing of proprietary information in this context. In particular, the Board does
not anticipate that price or rate information will be deemed proprietary. If it seems necessary to include
allegedly confidential material in a bid, all such materials must be submitted in a separate sealed envelope
and marked "CONFIDENTIAL."
It will not be sufficient for vendors to merely state generally that the proposal is proprietary in nature and
not therefore subject to release to third parties. Those particular pages or sections which a vendor believes
to be proprietary and of a trade secret nature must be specifically identified as such and must be separated
- 9 from other sections or pages of its proposal. Convincing explanation and rationale sufficient to justify each
exemption from release consistent with Section 316 of Title 1 of the Vermont Statutes Annotated must
accompany the proposal. The rationale and explanation must be stated in terms of the prospective harm to
the competitive position of the vendor that would result if the material were to be released and the reasons
why the materials are legally exempt from release pursuant to the above cited statute. Applicants must
understand and agree that final discretion to release or exempt any or all material so identified, rests with the
Board.
All bids submitted in response to this RFP will be open for public review, except as specifically noted
immediately above. Any interested person or party may review those bids at the Board's office between the
hours of 9:00 AM and 4:00 PM, beginning Tuesday, September 13, 2005, and if so inclined, may provide
comments to the Board.
5.2.15
Offer of Gratuities
The vendor warrants, represents and certifies that no elected or appointed official or employee of the
State of Vermont has benefitted, or will benefit, financially or materially from this procurement. Any Contract
and/or award arising from this RFP may be terminated by the State if it is determined that gratuities of any
kind were either offered to, or received by, any of the aforementioned officials or employees from the vendor,
the vendor's agent or the vendor's employees.
5.2.16
Business Registration
The selected vendor must acquire a valid business registration from the Vermont Secretary of State's
Office upon notification of a contract award.
5.2.17
Vermont Tax ID Number
A Vermont business account tax number is required for contractors if the contractor is a corporation or if
the contractor, under whatever form of business, has employees who are subject to federal income tax
withholding and who perform their services within the State of Vermont. Contracts cannot be executed
without a Vermont Tax ID Number.
5.2.18
Joint Ventures
Proposals that request joint ventures between bidders will not be accepted. The State will only enter a
contract or award with a prime contractor who will be required to assume full responsibility for the delivery of
contracted services outlined in this RFP.
5.2.19
Readiness of Offered Products
All products and services offered in vendor responses to this RFP, including computer software, hardware
and program products, must be currently manufactured and available for general sale, lease or license on the
date the proposal is submitted.
5.2.20
Inspection of Work Performed
During and after the commencement of this project, the State of Vermont, and its authorized
representatives, must be allowed access to inspect all contractor materials, documents, work papers,
- 10 equipment and products, deliverables, and any such other items which pertain to the scope of work for this
RFP and contract. This requirement also applies to any subcontractors who may be engaged by the vendor.
5.2.21
Collusion
By responding, the vendors implicitly state that the proposal is not made in conjunction with any
competing vendor submitting a separate response to this RFP and that it is in all respects fair and without
collusion or fraud.
ATTACHMENTS
The following items are included as Attachments A and B.
Attachment A
State of Vermont - Contract for Services, Customary State Contract Provisions
Attachment B
List of parties in Docket No. 7081